In 2015 the National Reserve fund was based on a 3% cut to the Basic Payment Scheme financial ceiling and provided some €24.7 million in funding which was the maximum financing rate available under the relevant EU Regulations. The EU regulations governing the National Reserve provides that priority under the National Reserve must be given to ‘young farmers’ and to ‘new entrants to farming’. There was no National Reserve in 2016 as all available funding has been utilised under the 2015 scheme. There were 6,260 beneficiaries under the 2015 National Reserve of which 5,567 were successful applicants under the ‘young farmer’ priority category. Details are set out in the following table.
Scheme Year
|
Total Number of beneficiaries under the National Reserve
|
Number of beneficiaries under the Young Farmer priority Category
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2015
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6,260
|
5,567
|
In order to provide for a National Reserve in 2017 funding is required to replenish the Reserve. EU Regulations governing the scheme provide that funding for the replenishment of the National Reserve may be obtained by means of surrender of entitlements that remain unused by farmers for two consecutive years and by claw-back derived following the sale of entitlements without land. It is envisaged that funding derived from these two sources in 2017 will be very limited. The Regulations also provide for the option of applying a linear cut to all farmers' entitlements to fund the National Reserve.
Consultation between Department officials and the Direct Payments Advisory Committee comprising members of the main farming organisations and advisory bodies takes place annually as part of the decision making process for the National Reserve. Decisions relating to the availability of a 2017 National Reserve will be made following determination of available funding and the completion of the consultation process involving the Direct Payments Advisory Committee which is currently under way.